During the years 1948 to 1961 the oil industry spent more than $150,000,000 exploring the submerged oil potential of offshore California. Seven oil or gas accumulations were discovered, but none appears to be of sufficient size to yield a significant profit to the operator. Prior to 1948 four giant California offshore oil fields (Elwood, Rincon, Wilmington, and Huntington Beach) had been developed with total estimated ultimate reserves exceeding 1,500,000,000 barrels. Published reports had outlined unexplored offshore basins with vast volumes of sediments. Producing fields onshore but close to the ocean are estimated to yield ultimate recoveries ranging from 150,000 to 550,000 barrels per acre.

Hypothetical offshore extensions of these producing trends led to enthusiastic multi-million-barrel estimates of the offshore potential. In 1953 the "Tide and Submerged Land Act" triggered a hectic exploration campaign. Sophisticated, costly tools were developed. Estimates indicate that 40,000 miles of seismic lines were shot. Several hundred coreholes were drilled. Bonus bids at State offshore sales reached new highs in 1958 when approximately $55,000,000 was paid for five parcels of land at prices ranging up to $6,175 per acre. Drilling during the following year resulted in four discoveries. From the oil finders' view, 1959 was a very successful year in California exploration history but from the economic viewpoint the results do not appear impressive.

Many major companies continue the offshore campaign with improved methods and tools, yet the California offshore potential remains largely unexplored. Economic development of this oil to serve our companies and the exploding West Coast population requires re-assessment of exploration methods, more advancements in technology, less expensive drilling and completion techniques, a better understanding of offshore economics, and more realistic appraisals of individual prospects.

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